To be an independent contractor (IC) in Montana a worker must be:
I)Free from control or direction.
a) Payment is on a bid or project completion basis rather than time
b) The IC submitting a bid establishes the cost for the project not the hiring company
c) The IC provides substantially all their tools and equipment necessary to perform the job
d) The IC completes the project in the manner and means they see appropriate
e) The IC is skilled in the task and doesn’t require any training from the hiring company
II)Engaged in their own independently established business, occupation trade or profession.
III) Hold an Independent contractor Exemption Certificate(ICEC)
Montana workers are required by law to either be insured under a workers’ compensation policy, or they may apply for the Independent Contractor Exemption Certificate (ICEC). A person with an ICEC states the occupation they are exempt under. They swear on the affidavit application they are free from control, and they document to the Montana Department of Labor and Industry (DLI) that they are the owner of an independently established business for each occupation applied for.
Persons who choose to apply, must completely fill out the application and waiver provided by the DLI, swear under oath to the truth and accuracy of their statements, and have their signature notarized. The application & waiver along with the business documentation and a $125 fee is required for processing. The ICEC is effective for a two-year period. This is different from the construction contractors certificate which has an fee of $53.00.